Solar in Arkansas
Key Solar Metrics
12.8¢/kWh
5.2 peak sun hours
916 kWh/kW
Net Billing
2 active programs
Arkansas Net Billing
City
Major Utilities
Solar Landscape in Arkansas
Arkansas is primarily served by two large investor-owned utilities. Entergy Arkansas is the largest, serving approximately 700,000 customers across much of the central and eastern portions of the state. Southwestern Electric Power Company (SWEPCO), an AEP subsidiary, serves the northwestern portion of the state.
The state's average residential electricity rate is approximately $0.12/kWh. Under Act 278 (2019) and subsequent APSC orders, both major utilities transitioned from full retail net metering to avoided cost net billing for new solar customers as of late 2024. Systems installed before the transition date retain full retail credits for 20 years. Several electric cooperatives and municipal utilities also serve parts of the state, with varying solar policies.
Permitting
Arkansas has no statewide solar permitting standards. Solar permitting is handled at the local level by city and county building departments. Requirements, fees, and timelines vary significantly across the state.
No Arkansas jurisdictions currently participate in the DOE's SolarAPP+ automated permitting program. Typical residential solar permit timelines range from 1 to 3 weeks depending on the municipality. Little Rock and other larger cities generally have more established permitting processes.
The Arkansas Public Service Commission (APSC) oversees interconnection standards for regulated utilities, with a simplified process available for residential systems under 25 kW.
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Solar Incentives & Rebates
Some incentive data is provisional and subject to verification. Programs may change — check official sources before making decisions.
State Programs
Arkansas Net Billing
Arkansas reformed net metering in 2019. New solar customers receive 2-channel billing with export credits at avoided cost rate (~$0.04/kWh for Entergy).
Arkansas Solar Access Rights
Arkansas protects solar easements under ACA 18-15-901. Provides framework for solar access agreements.
Arkansas Net Billing (Act 464)
- Policy Type
- Net Billing
- Credit Type
- Avoided Cost
- System Size Cap
- 25 kW
- Annual Credit Rollover
- Yes
- Effective Date
- July 1, 2019
Run the Numbers for Arkansas
Solar in Arkansas costs $2.47–$3.02 per watt
National average: $3.36/W
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